Discover the best and most profitable business ideas and opportunities. most small business authors and specialists focus so tiny on business selection is that they know tiny about the subject. Though vitally important, market research and analysis are topics most business authors, counselors, brokers and advisors have unsuccessful to study. Even some business planning consultants gloss over this crucial aspect of entrepreneurial success.
Many entrepreneurs incorrectly adopt this decision should be based largely on the existing technical skills, interests and experience they bring to the equation. Or they might have a friend or relative who claims, often inaccurately, that the business they own is a raving success, and simply decide to follow their lead. But there are far superior ways to plan for success.
Smart entrepreneurs also search for screaming success stories of oparation management. More than a dozen business publications, including Inc. Magazine, Business Week, and Fortune rank the fastest growing massive and small companies in the U.S. Some target hot growth businesses in Canada, Europe, South America, Asia or other countries and regions.
For an individual who is financially independent and for whom earning an income (and a profit) from their new venture is secondary, this might be fine. But few planning a new business enjoy that luxury.
Business authors and specialists focus so tiny on business selection is that they know tiny about the subject. Though vitally important, market research and analysis are topics most business authors, counselors, brokers and advisors have unsuccessful to study. Even some business planning consultants gloss over this crucial aspect of entrepreneurial success.
An entrepreneur identifies a company growing as fast as 5,000 to 20,000 percent each three to five years, he or she thinks about how a new company might partner with or piggyback on that white-hot growth. They might slice off a niche, or become a supplier, dealer, representative, distributor or reseller. They brainstorm ways in which their own new company can tap into this hypergrowth. When I-Pods exploded on the scene a few years ago, smart entrepreneurs recognized the concurrent demand for accessories, and moved swiftly to respond with highly profitable new products.
Wise business owners also study broad, societal trends, as well as trends within narrow industry and customer segments. They learn from futurists (management science consultants, about diverse global trends, risk management and emerging market) opportunities. Some of the ideal known futurists are Faith Popcorn, who wrote Clicking, Alvin Toffler, author of Future Shock, and Patricia Dixon, whose website, globalchange.com, is read by thousands daily. Books, magazines (especially industry and trade publications) and websites offer a myriad of free and low cost on trends and the future.
After homing in on a handful of rapid growth industry niches, the entrepreneur’s market research efforts continue with a search for market analysis reports targeted to those niches (many are free and acquirable from your public and university libraries). Successful owners also gather statistics on the product or service and its potential target customers. Much of this data is acquirable from the U.S. Agency of the Census, the IRS, the U.S. Department of Labor, the U.S. Commerce Department and other federal agencies. Private sources offer data, too, usually more targeted, but at a price.
Available information includes national, state, county, city and other geographical area statistics on income, total wealth, gender, age, ethnicity, employment, number of companies in the same product or service category, number of stores per company, square footage and square footage costs per store, profitability of companies in the trade or industry, risk of failure, and benchmarking data (typical income and itemized expenses for companies with revenue comparable to your firm’s anticipated revenue), and more.
There for , before you race down to register your business study or run to the store for office supplies, ask yourself this question: Am I satisfied that I’ve found a high demand, high profitability business, with costs I can control (or even cut below the industry benchmark), in a low competition niche that is suitable given a broad application of these skills, interests and experience and many more.